How the world’s best-performing school systems come out on top :January 23rd 2008 This report contains information that is confidential and proprietary to McKinsey & Company, Inc. and is solely for the use of McKinsey & Company, Inc. personnel. No part of it may be used, circulated, quoted, or reproduced for distribution outside McKinsey & Company, Inc. If you are not the intended recipient of this report, you are hereby notified that the use, circulation, quoting, or reproducing of this report is strictly prohibited and may be unlawful. IDC Herzliya Conference How the World’s Best-Performing School Systems Come Out on Top How the world’s best-performing school systems come out on top


Slide 2:1 Theme 1: The Challenge


Israel’s education spending is in line with OECD average ... :2 Israel’s education spending is in line with OECD average ... Source: OECD Spend per student in primary education, US$ 2004


... And above when calculated relative to GDP per capita :3 ... And above when calculated relative to GDP per capita Source: OECD Spend per student in primary education, % of GDP per capita


But Israel’s education performance is poor … :4 But Israel’s education performance is poor … Source: PISA 2006 Average score in PISA 2006


… with a wider variation than any OECD country :5 … with a wider variation than any OECD country Source: PISA 2006 Score point difference between 10th & 90th percentiles (Math, PISA 2006)


In any event, money does not guarantee success :6 Country In any event, money does not guarantee success * Real expenditure, corrected for the Baumol effect using a price index of government goods and service ** Maths and Science Source: Pritchett (2004); Woessmann (2002); McKinsey New Zealand France Australia Italy Japan United Kingdom Germany Belgium Increase in real expenditure per student* (1970 – 1994) Increase in student achievement** (1970-1994)


Nor does smaller class sizes :7 Nor does smaller class sizes Source: National Centre for Education Statistics, NEAP, Hanushek (1998) Linear Index 0 10 20 30 40 70 1970 1975 1980 1985 1990 1995 2000 2005 50 60


Consistent quality of teaching is by far the most important factor driving performance and is missing in most systems :8 Consistent quality of teaching is by far the most important factor driving performance and is missing in most systems * Among the top 20% of teachers ** Among the bottom 20% of teachers Source: Sanders & Rivers Cumulative and Residual Effects on Future Student Academic Achievement Student performance 50th percentile 0th percentile 100th percentile Age 8 Age 11 Two students withsame performance


Slide 10:9 Theme 2: The Evidence


This is the theme of our recent publication: ‘How the world’s best-performing school systems come out on top’ :10 Source: McKinsey The Economist, Oct 18, 2007 McKinsey the lessons according to How to be top What works in education: This is the theme of our recent publication: ‘How the world’s best-performing school systems come out on top’


We benchmarked 20 school systems, including 10 of the world’s top performers :11 Systems with strong improvement trajectory 4 Systems in the top ten in the OECD’s PISA (2003) 1 Atlanta Boston Chicago England Jordan New York City Ohio Alberta Australia Belgium Finland Hong Kong Japan Netherlands New Zealand Ontario2 Singapore33 South Korea We benchmarked 20 school systems, including 10 of the world’s top performers 1. OECD’s Programme for International Student Assessment, examination every three years of reading, math, and science skills of 15-year olds. Liechtenstein and Macao also scored in the top ten in 2003 but were excluded for technical reasons. 2. Canada scored 5th overall on PISA; Alberta and Ontario were included as representative provinces 3. Singapore did not participate in PISA; Singapore scored top in both science and mathematics in TIMSS 2003 4. Systems with high improvement rates according to the US National Assessment of Educational Progress (NAEP) or TIMSS scores. In addition, Boston and New York have been consistent finalists of the Broad Prize for Urban Education Source: PISA, McKinsey


Slide 13:12 “The quality of an education system cannot exceed the quality of its teachers.” Lesson 1


Great systems attract great people into teaching :13 Great systems attract great people into teaching Korea The top 5 percent of graduates Finland The top 10 percent of graduates Singapore The top 30 percent of graduates As the war for talent intensifies, rising to this challenge becomes ever more difficult


Top-performing systems are rigorous about teacher recruitment: Finland :14 Top-performing systems are rigorous about teacher recruitment: Finland * Varies by university Source: Attracting, Developing and Retaining Teachers: Background report for Finland; Interviews; McKinsey Only 1 in 10 applicants is accepted to become a teacher*


Top-performers paid good salaries, but not great salaries :15 Primary teacher salary as % of GDP per capita Top-performers paid good salaries, but not great salaries Starting salary Finland OECD Source: OECD Education at a glance 2005 Salary after15 years Finland OECD Maximum salary Finland OECD


Other systems are stepping up teacher recruitment :16 Other systems are stepping up teacher recruitment Source: Training and Development Agency For Schools Source: Training and Development Agency For Schools


Slide 18:17 “The only way to improve outcomes is to improve instruction.” Lesson 2


Top-performers take professional development inside the classroom and make it routine :18 Top-performers take professional development inside the classroom and make it routine Professional development in Shanghai and Japan Peer observation: All teachers in Shanghai are required to visit and observe at least eight lessons by colleagues each term Lesson study: Teachers in both Shanghai and Japan work in teams to analyse and develop model lessons Demonstration lessons: Teachers demonstrate excellent practice to a wider group of instructors, followed by discussion and feedback sessions


Reforms which focus on teacher quality improve outcomes (1/2) :19 % of Boston students meeting the target standard in Grade 10 MCAS* Reforms which focus on teacher quality improve outcomes (1/2) * Massachusetts state assessment exam Source: Boston Public Schools Maths Reading 1998 2004 1998 2004


Reforms which focus on teacher quality improve outcomes (2/2) :20 The impact of the National Literacy Strategy in England Reforms which focus on teacher quality improve outcomes (2/2) Source: DoE 50 % students achieving target literacy level 55 60 65 70 75 80 1998 1999 2000 Implementation of strategies to improve teacher quality 1997


Slide 22:21 “High performance requires every child to succeed.” Lesson 3


Finland relies on 1-1 interventions to help those falling behind :22 Finland relies on 1-1 interventions to help those falling behind Class teachers identify students who need additional support Students receive additional support from special education teachers Students are integrated back into normal classes Additional 1-on-1 or small group tuition to support those who are falling behind 30% of all students benefit during any given year Focus is on Mathematics and Finnish language ‘Special education’ teachers receive an additional year of training and are paid slightly higher salaries They work with a wider support team – psychologists, nurses, special needs advisors – to provide a comprehensive support Source: Interviews, Finland's Thematic Review on Equality Source: Interviews, Thematic Review on Equality


Slide 24:23 “Great leadership at school level is a key enabling factor.” Lesson 4


Top-performers recruit and train excellent school leaders :24 Top-performers recruit and train excellent school leaders “We train our teachers and vice-principals to apply best practices; we train our principals to create them” NIE Singapore Singapore’s 6 month programme to develop new principals Management and leadership courses taken from leading executive training programmes One day a week in schools where candidates are assigned to develop innovative approaches to the toughest problems Group projects where candidates work in teams 2-week overseas placement with a major corporation (e.g., IBM, HP, Ritz Carlton), where they shadow top private-sector executives Rigorous evaluation – only candidates who demonstrate the required competencies will succeed Source: Interviews, McKinsey


Slide 26:25 Theme 3: The “Roadmap”


Eight ingredients of great systems :26 Eight ingredients of great systems


How the world’s best-performing school systems come out on top :January 23rd 2008 This report contains information that is confidential and proprietary to McKinsey & Company, Inc. and is solely for the use of McKinsey & Company, Inc. personnel. No part of it may be used, circulated, quoted, or reproduced for distribution outside McKinsey & Company, Inc. If you are not the intended recipient of this report, you are hereby notified that the use, circulation, quoting, or reproducing of this report is strictly prohibited and may be unlawful. IDC Herzliya Conference How the World’s Best-Performing School Systems Come Out on Top How the world’s best-performing school systems come out on top